Posted by For the ninth month of 2024 the DOW added 767 points, or about 1.8%, which is a gain of 11.3% year to date. Interest and dividend income was $2471 for the month. Withdrawals for living expenses came to $1027. Overall, my account balance increased by 1.03% from the prior month. YTD the increase is about 9%, which is well below all of the major indexes. With over 40% in money market funds that is to be expected. I sold 200 shares of Fidelity Dividend ETF for Rising Rates (FDRR) and added 150 shares of Putnam Global Healthcare Fund (PHSTX) in the last month. I added 130 shares to the Nuveen High Yield Muni Fund (NHMAX). I also sold 100 shares of Conagra (CAG) and added 100 shares of Verizon (VZ) and 100 shares of First Trust Nasdaq Bank ETF (FTXO). The last trade was in anticipation of more rate cuts which should benefit bank stocks.
My 100 shares of Devon Energy (DVN) acquired last month are down about 12.5%. That’s what you get when you buy shares that are in a six month down trend. Crude oil is currently at about $70 per barrel, but tensions in the middle east could change that. Oil prices fluctuate quite a bit, but I bought DVN for the 5% dividend. Oil prices may also go up after the election. The price usually goes down prior to an election to prevent gas prices from being a factor on people’s minds. With only two months before the election, the race is still too close to call. The news and social media are in full spin mode, trying to put shade on the candidate that they oppose. I try to stay out of politics but need to follow it because it affects my investments.
So far, I have been able to avoid any large expenses (other than having to buy a new refrigerator) this year. I just had a birthday last month, so that means I have 3 years to go before I start social security and Medicare. During the past 3 years I have been in capital preservation mode. It has been a wild ride with a low of -14% and then a steady comeback to be up by +4.3%. All while withdrawing money each month for living expenses. My rate of return has been muted by my conservative nature. Sage advice says to put your money into an index fund and keep adding to it. Over many years this works, but there will be some years with losses greater than 14%, if you don’t diversify your investments.